Beruflich Dokumente
Kultur Dokumente
c
c
Poor agriculture commodity prices coupled with rising input costs are slowly but substantially
eroding small farm incomes in India , Further forces such as globalization , industrialization,
and development encroachment are threatening the agriculture .As a result, farmers are
acquiring second job or leaving their farms altogether in order to sustain their household
income.
In many regions across the globe , farmers are recognizing the need and desire to diversify their
farm products and supplement their agriculture income, with an agriculture economy that has
decreased to just 2% or remained stagnant for last 10 years ,farmers across India have
tremendous opportunity to diversify their list of products and service offerings with agriculture
tourism. Agri Tourism increases the potential for higher margins on farm sales of value added
products and services.
Agri-tourism attracts urban tourists to rural villages for a form of relaxation that follows the
growing trend of tourism that is both educational and recreational. It is another option for
farmers wanting to diversify their farming operations that will help bring more economic
activity to rural areas of India.
Travel and Tourism are big Business across India, In India 306 * million domestic leisure
tourists (* Tourism report 2004) spend more money every year and support millions of jobs.
This article / report will also help Management Graduates, banker and financial institutes, and
other stake holders in Agriculture Sector.
For India as whole the landscape, much of the infrastructure, and the resources are already in
place, to take advantage of the opportunities, farmers will have to carefully research and assess
their situation with regards to location, marketing, human resources and facilities before
developing an in-depth business plan for Agri Tourism activity. India consists of more than 6
lakh villages; most of the villages in most of the taluka places and surrounding rural areas have
been attracting the tourists for short breaks for more than three decades. Visitors are attracted to
these places because of its rural landscape, which has been defined by its agriculture resources.
Indian domestic tourism activity and agriculture are, therefore, linked in an inseparable bond.
Agri Tourism is a new concept in the already saturated market of conventional, heritage, eco,
medical, religious tourism. India is well known in the international tourism market for its
scenic beauty, locale, friendly people, and this concept which is being introduced for the first
time in the Baramati, district of Pune got immense response in term of tourist visiting the Agri
tourism baramati project, within three years of operations it has received more than 20000
tourists, from across India and also from all over the world, further it has a massive scope for
success.
The concept of Agritourism is a mixture of integrating agriculture along with pleasure, thus
putting across an option of an Agritourism. Tourists from the urban areas can come and spend
their weekends or holidays in a village cum agricultural atmosphere at a very nominal cost. It is
the home away from home and with giving a personal feels and that too in harmony with
culture, language and ethics.
Definition: Agri Tourism: ³The act of visiting an agriculture farm, or any agriculture,
horticulture, or agribusiness operation for the purpose of enjoyment, education, or active
involvement in the activities of the farm or operation´ is the economic activity that occurs
when agricultural products or services are provided to the traveling public. However Agri
Tourism can be viewed much like eco tourism as small scale, low impact and in most cases
education focused and more over small landowners operate majority of farms in India ,
opportunities for uniqueness and customization are limitless.
With increasing expenses in agriculture input costs and lesser and tighter returns, farmers are
seeking new ways to generate and diversify and add value to their agriculture income. They
need to be able to better utilize their human and capital resource base to be more competitive
and profitable. Consequently, there is growing interest in Agri-tourism.
It not only can help increase farmers income, but also can promote and serve as a sales outlet
for both raw and value added agricultural products. The entire agriculture industry also benefits
by enhancing agriculture awareness.
This model provides a general overview of the opportunities that exist and some specific
examples of farm based accommodations.
A Primary Enterprise : as a primary enterprise , agri tourism would be the dominant activity on
your farm, for instance , you may decide o open a winery on your farm and invite guests to
spend the day or the weekend tasting wine, as a part of wine tasting package , you may include
overnight lodging in a cottage on your farm,. You may produce grape for the wine on your
farm, to supplement your wine tasting activities, however because agri tourism is the main part
of your farm product mix, it becomes your primary enterprise.
Therefore it is important for a farmer to realize that agri tourism has the potential to become
whatever you want it to be on your farm. Whether you use agri tourism as supplementary,
complimentary, or primary, you must ready to think creatively and plan effectively in order to
make it successful.
External Resource:
Once the farmers decide goals and objectives of the new agri tourism enterprise, the farmer
may want to discuss with the expert organization in the field that have experience in implanting
agri tourism projects.
Agri Tourism Development Corporation can help promote the agri tourism business along with
other local projects, in addition ATDC may be able to provide you information about the
tourists who visit your area, further can help to gather the information on agri tourism, and
bring the urban tourists to your agri tourism location.
Developing a successful agriculture tourism enterprise requires thorough market research and
business planning. Each individual farmer¶s situation is unique. Farmers are not encouraged to
start enterprises that are inappropriate for them, or that have limited markets already served by
existing Agri Tourism units / operators.
An important first step in evaluating a new business opportunity is to examine the goals and the
philosophies of the whole family before making any decisions.
Some Agri-tourism enterprises are not entered into for the primary purpose of profit. They are
seen by the farmers¶ family as an exciting opportunity to meet new people, share their farm life
with others, and to earn extra income. Along with establishing goals, prospective Agri Tourism
entrepreneurs need to do market research and financial budgeting. Whether farmer chooses to
start an agricultural bed and breakfast, host day visits to the farm, or enter into a more creative
enterprise, the key is to understand the options available and choose an enterprise that is suited
to that particular farmer¶s family.
This requires careful consideration of a host of management issues that will affect the success
of an Agri-tourism enterprise: social skills, site considerations, insurance, labour, and
regulations. Very careful consideration needs to be given to each of these factors before
venturing into an Agritourism business.
Social skills are probably the most important of these factors. Entrepreneurs involved in
Agritourism should be ³people´ persons - they should enjoy having people in their homes, they
need to be open to questions and they need to have the ability to promote themselves and their
farm. They also need to be flexible and to have the time to interact with their guests.
Site considerations include the location of the farm with respect to scenic vistas and
closeness to other tourist attractions. The farm must be easily accessible to visitors and their
various forms of transportation and have ample parking facilities. The farm needs to be
attractive, clean and reasonably free of odour.
Liability Insurance (optional, is in talks with national insurance and private insurance
companies) should be obtained prior to initiating an Agri-tourism business. A farmer may be
held legally responsible for any person on his or her property and liability insurance can protect
the farmer and its assets. This can be added to the existing farmer¶s policy or through writing a
general liability policy. It is safe to assume that any new operation would not be covered by an
existing policy; a qualified insurance agent, as well as an attorney, should be consulted to
guarantee full protection. Extra attention must be paid to ensuring that the operation is as safe
as possible at all times. Security Fences, security personnel, protective devices on equipment,
and warning signs must be in place before the Agri tourism business is open to the general
public.
Labour will be greatly affected by the new Agritourism business. Farmer need decide who will
be the primary person/ manager of the new enterprise, and whether or not family labour will be
enough to handle the increased responsibilities or if regular farm employees will need to devote
time the new venture. Children can be an added resource in this area, assuming that they
mature enough, and interested enough, to participate.
Rules and Regulations affect everything from the cottages and house / restrooms needed, to
signage and food service requirements. Since Agritourism is a relatively new industry, it is not
always clear what agency is responsible for each aspect of the enterprise. The key to
establishing a successful Agritourism business is to understand the available options and
choosing an enterprise that is suitable to the individual grampanchayat / area and farmers
Agri-Tourism Products
1. Accommodations
Participation in the Agri Tourism Development Organization (Maharashtra Agri Tourism
Center Directory) Accommodation Rating Program which rates accommodation based on
established industry standards is a good business decision for owner/operators and their guests.
A. Cottages
In Pune District many farms have a couple of acres of land that are the perfect location for
cottages. The Land may overlook water or the surrounding countryside and be close enough to
the farm home to be convenient, yet far enough away to be private. Cottages may be an option
for farm families who want more privacy. Often, cottages are rented on a weekly basis which
minimizes the workload with regards to cleaning and changing bedding. Cottages also allow
the farm family to complete their farm chores on their own schedule. Another important
consideration is the fact that a 1, 2 or 3 Star accommodation is easier to achieve and therefore
more funding options are accessible.
1. A 1 Star rating has criteria such as a standard room size, window screens and coverings,
clothes storage, linens, door locks, and parking facilities.
2. A 2 Star rating exceeds the previous requirements by offering better quality mattresses,
linens, floor/window/wall coverings, and additional room furniture including lighting. A
continental breakfast with a minimum of three items must also be provided on the premises.
3. The higher end Bed & Breakfasts from 3 to 5 Star rating, caters to specific clientele, and has
above average accommodations.
Incorporating this type of Bed and Breakfast into an existing operation requires significant
changes and commitment by the operator with respect to time and investment. A 3 Star
accommodation must have coordinated furniture, better quality bedding, and have a private
bath for each guest room. A 4 Star unit must have superior quality throughout the facility and
must have laundry facilities for the guests. Only properties with luxury at a world standard are
awarded a 5 star rating. They offer outstanding facilities, guest services and amenities.
2. Farm-Based Recreation
A number of farm based activities could operate in conjunction with the accommodations to
help increase the activities offered to guests on a pay as you go basis.
Other Agri Tourism endeavors on the farm may include the direct marketing of the farm
products at the farm, here farmer can sales any thing he produce in the farm, or from farmers of
the village. Different festivals can be organized to attract the tourist to this place. Value added
products - to attract tourists , the unit must offer something that is different from the
competition , value added products such as specialty milk products, fruits, vegetables, rice, etc,
these all products when sold in the unit can draw people to rural locations and enhance the
communities economy.
a. Description of Business:
b. Internal Resources
What are you selling?
What benefits are your selling?
What is unique about your goods or services?
c. Market Analysis
Who buys from you?
Are your market growing, steady, or declining?
Is your market share growing, steady, declining?
Have you segmented your markets? How?
Are your markets large enough for expansion?
d. Competition
Who are your nearest direct competitors?
Who are your indirect competitors?
How are the Businesses similar to and different from yours?
What have your learned from their operations/ advertisements?
f. Marketing Plan
Who will actually buy from you?
How will you attract and hold your target market and increase your market share?
Are you planning to enter or leave any markets/
How do you price your products?
Where is a desirable area? What are the main attractions in your area?
What kind of space do you need?
g. Sales Plan
Who will do the selling in your business?( ATDC )
What are your weekly, monthly sales goals?
What are the check points to reach those goals?
What sales approach will you use?
h. Operation Plan
How will your organize the flow of work through your business?
How will you assure that all the tasks are performed?
How will you monitor the quality?
How will you keep the costs under control?
I. Revenue / Expenses.
j. Loan
How will the loan (investment) make your business more profitable?
Will you buy or lease equipments.
Do you really need this money or can you make do without?
Weighting MATRIX
Possible Agri Tourism Opportunities
Farm Plan
Financial capacity ( Small farmers priority )
Current Farm Income source
Family members interest in agri tourism
ACCOMMODATION CLASSIFICATION OF
AGRI TOURISM PROJECTS
Here accommodations for tourist are an integral part of a tourist¶s visit to an agri tourism
place/village and the services offered by farmers can make or mar a visit completely. With the
aim of providing standardized, world class services to the tourists, the ATDC has voluntary
scheme for classification of fully operational hotels in the following categories:-
General Remark
Primarily transient, full time operations, - Necessary
At least in the 3 days of week ends through out the season N
Establishment to have all necessary Trading licenses N
Establishment to have public liability Insurance N
Bedrooms, Bathrooms, Public areas and kitchens fully serviced daily N
All surfaces clean and in good repair N
Guest rooms
Minimum 3 lettable cottages. ( 12 tourists per 2 acres) - N
(All rooms with outside window/ventilation)
Minimum size of bedroom excluding bathroom in 135 sq ft - N
A clean change of bed and bath linen daily & between check-in¶s- N
Minimum bed width for single (90cm) and double beds (135cm)- N
Mattress Minimum 10cm thick minimum bedding 2 sheets, pillow case, blanket, mattress
protector/bed cover.
Bathrooms
Percentage of rooms with dedicated (private) bathrooms with room - 100%
Minimum Size of Bathroom in square feet - 40 sq ft. N
1 bath towel and 1 hand towel to be provided per guest. N
One W.C. brush per toilet seat. N
Guest toiletries to be provided. Minimum 1 new soap per guest. N
A clothes-hook in each bath/shower room. N
A sanitary bin. N
Each Western WC toilet to have a seat and lid, toilet paper. N
Floors and walls to have non-porous surfaces. N
Hot and Cold running water available 24 hours. D
Shower closet ,Water saving taps/shower, Energy saving lighting D
PUBLIC AREAS
A lounge or seating in the farm area under the shadow N
Reception facility or means to call attention N
Accommodation, F&B and other tariffs available at the office (optional) N
Staff Quality
Staff uniforms for front of the house Front office staff Marathi / English speaking
Staff Welfare/Facilities
Staff rest rooms
Staff locker rooms
Toilet facilities
Dining area
Guest Services
Name, Address and telephone numbers of doctors with front desk
Checklist for facilities & services
Percentage of staff with minimum one year certificate course from Government recognized
catering/ hotel institutes
Set Up cost:
Starting a new agri tourism business require some initial output, regardless of the type of
operation it is, developing cottage operation requires significant investment. They themselves
must be built using regulated building standards, each cottage must then be equipped with
appliances, fixer and fittings furniture, linens, and utensils, a well and septic system must both
be dug and put into place. A bed and breakfast facility requires more bedding, towels, and
furniture repairs, to walls, and floors, and bathroom upgrades.
If the farmer is interested in getting into a recreational activity such as bullock cart, buggy
rides, and tractor rides etc more reliable resource must be used, there may also be additional
costs for setting up buildings to use as an office or as place to market value added products.
Some money will require for signage¶s etc
The cottage operations example will include accommodation for minimum of 10 tourists and
max for 50 tourists (10 tourists per 2 acres.) The assumption that the clear land is owned by the
farmer is also an important consideration
2) The cottage costs include a cupboards, and bathroom vanity with mirror, bedroom closets.
The costs also include flooring and painted gyproc that meet the 3 Star standards.
3) Although the operation is busy during diwali and weekend and public holidays, a 50 %
occupancy rate is assumed, to take into account the slower shoulder months.
5) The accommodation rate has been estimated at Rs 200/- per person per day.
This Agri tourism model has highlighted average bed and breakfast operations because it
requires less capital investment than other ventures and is a good introduction to the tourism
industry on a small scale.
The returns are modest at this level, but if the farmer finds that he / she enjoys agri tourism,
then the business plan can be expanded and developed to larger scale that may include
additional cottages, market hall, recreational activities,
Conclusion
From the above project profitability working, it can be inferred that the project is viable, the
break even and repayment is before 4.5 years. Being one of its kind projects it¶s bound to create
waves and bring about a change socially, economically in the concerned village and other
villages. Its also going to change the mind set of the villagers and society at large towards the
farming community. Once the project is a success many more will follow suit and that is where
we agriculture institutes come in to fulfill our obligation towards society and at the same time
sustaining our selves by being self reliant and self employed.
Please Note:
This Agri Tourism Model has been compiled as a source of information for those who may be
considering Agri-tourism as a commercial venture.
The reader is cautioned that the information provided should be considered as a starting point
only. It does not substitute for a business plan; a business plan incorporates specific
information unique to the investor.
The preparation and evaluation of a Business plan is a critical step that must be taken before
any significant investment is made. While every effort has been made to ensure the accuracy of
the information provided, the reader is further cautioned that information critical to his or her
business plan should be verified. Particular attention should be paid to information that may
become outdated.